True or false about NBFCs

Exercise and reference answers

Questions

1. Statement is true

   No

   Statement

   An NBFC may accept demand deposits.

2. Statement is true

   No

   Statement

   NBFC depositors get DICGC cover.

3. Statement is true

   Yes

   Statement

   Registration is needed under Section 45-IA.

4. Statement is true

   No

   Statement

   Partnership firms may take public deposits.

5. Statement is true

   Yes

   Statement

   An NBFC-MFI must be non-deposit taking.

6. Statement is true

   Yes

   Statement

   Public funds include inter-corporate deposits.

Instructions

Decide whether each statement is true or false.

Explanation